Throughout 2016 it received an average of 120 million visits a month, making it the 38th most visited site in the UK, per Alexa. It has over 20,000 sales or letting agency branches advertising at any given time, or approximately 91% of the total market.
Such a formidable position is the envy of every other business operating in the property and digital media industries. Indeed, respected business publication Forbes recently named Rightmove as the most innovative company in the world.
However, we think this is completely incorrect. In fact, Rightmove is hardly innovative at all, Here’s why.
The UK has a potential maximum market size of approximately 22000 advertisers.
These financial results translate to increasing returns to shareholders:
There are some key takeaways from these:
Rightmove enjoys supernormal profits from a monopoly position amongst advertisers;
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